The Impact of Hurricane Harvey and Hurricane Irma
September 10, 2017
Widespread industry disruption is predicted as a result of the devastating impact of Hurricane Irma and Hurricane Harvey. That disruption, as reported by CNBC, can lead to shortages, distribution center issues, and shipping rate increases. There are likely to be regional bottlenecks as well, as there are fewer trucks available to carry freight.
According to an article in Trucks.Com, it is mostly fruits and vegetables that are transported out of Florida. The trucks that travel to Florida are usually carrying consumer goods that are sold in the area stores. Houston, however, has a major distribution center and the effects of Hurricane Harvey will impact areas such as the oil-refining business. Houston is also a major portal for imported fruits and vegetables from Central and South America.
Most drivers have already noticed the change in gas prices. According to online data and information from AAA, the national price of gas is continuing to increase. As it goes up, disposable income goes down and so does aggregate spending. Along with the increase in gas, the cost of groceries is likely to rise as well.
The impact of the hurricanes to the homeowner and the insurance industry is variable. Initial reports reveal that a large percentage of those in Houston did not have insurance. While that takes less from insurance agents, it has a more devastating impact on its residents. Homeowners in Florida, however, are reported to have more insurance, which is likely to put economic pressure on insurance agencies, which in turn, may impact overall rates.
Some forms of transportation, restaurants, and tourism in Texas and Florida will likely be impacted for the better part of this year. Sadly, it may be years before these areas are fully recovered. As the nation joins together to embrace the aftermath of Harvey and Irma, one thing is for certain, those in the trucking industry will be there when needed, leading the way and playing a major role in the post hurricane reconstruction efforts.
Millis Transfer, Getting It There Since 1936, has an impressive service record earning dozens of “Carrier of the Year” awards. Headquartered in Black River Falls, Wis., Millis is also a Certified Top Pay Carrier with some of the best equipment on the road. Maintenance facilities and drop yards are strategically located throughout the company’s operating area. Its sister company, Millis Training Institute, offers five school locations that provide students with quality training in order to earn their CDL-A license. For more information, please visit www.millistransfer.com, www.mtidriving.com or call 1-800-937-0880.